Why Should Managers Be Concerned About Customer Relationship Management (CRM)?

Why Should Managers Be Concerned About Customer Relationship Management (CRM)?

It is hard work and very costly to obtain a customer BUT very easy to lose them! CRM should be an integral part of the business and is vitally important for the following reasons.

CRM is critical in order to:

  • promote or maintain customer loyalty – making customers feel valued so that they want to use a certain brand or service and recommend it to others
  • encourage or improve customer retention – inspiring customers to stay with the organisation because they receive a good service
  • encourage referrals – giving customers incentives and the confidence to introduce their friends, family and other contacts
  • maintain or increase revenue – developing repeat business to secure future sales and job security
  • improve and maintain high levels of customer satisfaction – to reduce the number of complaints and rejected goods
  • maintain and improve an organisation’s reputation – portraying a good image of how an organisation treats and values its customers
  • create and maintain a competitive advantage – delivering better products and services than competitors
  • enhance links with internal customers – delivering good-quality support and services to other work teams within the organisation


Good Luck!


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